EFFECT OF ENTREPRENEURIAL ORIENTATION ON PERFORMANCE OF BUSINESS START-UPS AMONG UNIVERSITY GRADUATES IN KIRINYAGA COUNTY
Abstract
Micro, Small and Medium Establishments (MSMEs) play a key role in economic growth and industrial development of a country. In Kenya, the sector accounts for 33.8% of the GDP and engages about 14.9 million people. Over 60% of Kenyan Graduates every year miss formal employment opportunities, and it is expected that they would opt to start business as a way of self employment. However only around 9.8% of businesses in Kenya are Graduate owned. The study observed the low rate of Graduate entry into business, coupled with high mortality rate of start-up businesses hence the concern over their performance and survival. This study therefore sought to asses factors affecting the performance of Graduate business start-ups in the rural set-up of Kirinyaga. The four variables proofed individually statistically significant. Collectively the four factors of EO in the study contributed 37.3 % of the performance. Profitability, sales growth and employment growth were prioritised by respondents in that order. Employment creation was the most important objective of the Graduate Business Start-ups. Innovativeness, Proactiveness, Risk taking, and Competitive Aggressiveness were rated first to fourth in that order of importance to the respondents. Similar studies were recommended including investigation into other factors affecting performance of Graduate business start-ups. Provision of support to start-up businesses was highly recommended. University Graduates should be facilitated to start business and teaching as well as training on entrepreneurship should be enhanced to Orient Graduate youths into Entrepreneurial activities and enhance their performance.
Key Words: Innovativeness, Risk taking Pro-activeness, Competitive Aggressiveness, Start-up Businesses
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DOI: http://dx.doi.org/10.61426/sjbcm.v5i2.785
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